Argentina: Argentina and International Business Essay

Submitted By gselymar
Words: 1601
Pages: 7

Argentina Introduction

Argentina has a population of 33 Million with an ethnic composition of 85 percent European descent, primarily Spanish or Italian. Indians, mestizos (people of mixed Indian and Spanish ancestry), and blacks together make up the remaining 15 percent. The Republic of Argentina is a democracy for now, but has had a long history of military power.

Spanish is the official language, although many people speak English, Italian, or other languages. Argentine Spanish is heavily influenced by Italian and is unlike Spanish spoken anywhere in Latin America. Church and state are officially separate, but about 90 percent of the population considers itself Roman Catholic. Jews and Protestants account for 2 percent each.

Argentina Fun Fact

Argentina is the homeland the 266th Pope of the Catholic Church known as the Bishop of Rome. Jorge Bergoglio, is the first Pope selected from outside Europe in over 100 years and the first from the Americas. He will be known as Pope Francis. The longtime Bishop of Buenos Aires, the new Pope spent the majority of his career at home in Argentina with his roots in the Jesuit Order. As the Cardinal of Buenos Aires, he was known for humility, doctrinal conservatism and a commitment to social justice.

Argentina is a country of wide-open pampas and ancient forests, in addition to very sophisticated cities, such as its capital, Buenos Aires. Buenos Aires, has the largest number of Jews in Latin America; they are commonly referred to as los rusos (the Russians) because most of the early Jewish settlers emigrated from Czarist Russia. Argentina was the first Latin American country to send a contingent to the Middle East during the Persian Gulf War.

Geert Hofstede Analysis for Argentina

Click Here for Geert Hofstede Scores for Argentina

The Geert Hofstede analysis for Argentina is similar to it’s Latin American neighbors. Uncertainty avoidance ranks highest which indicates a high concern for rules, regulations, controls and issues with career security – typically, a society that does not readily accept change and is risk adverse. Individualism ranks lowest which signifies a society of a more collectivist nature and strong relationships where everyone takes responsibility for fellow members of their group.

Argentina is similar to many of the Latin American countries in analysis of the Hofstede Dimensions (see Latin America Hofstede Graph below). In reviewing the data, there appears to be a correlation between Argentina’s culture and religion, as explained below.

The high Uncertainty Avoidance Index (UAI) ranking of 86 indicates the society’s low level of tolerance for uncertainty. In an effort to minimize or reduce this level of uncertainty, strict rules, laws, policies, and regulations are adopted and implemented. The ultimate goal of this population is to control everything in order to eliminate or avoid the unexpected. As a result of this high Uncertainty Avoidance characteristic, the society does not readily accept change and is very risk adverse.

In many of the Latin American countries, including Argentina, the population is predominantly Catholic (see Religions Graph below). The combination of Catholicism and the cultural dimensions shown in the Hofstede Graph above, reinforce a philosophy predicated in the belief that there is an absolute ‘Truth”. As Geert Hofstede explains about peoples with a high Uncertainty Avoidance Index, their attitude is, “There can only be one Truth and we have it.”

Based on our studies and data, the large majority of predominantly Catholic countries (those with Uncertainty Avoidance as their highest ranking Dimension) have a low tolerance for ambiguity. This creates a highly rule-oriented society that institutes laws, rules, regulations, and controls in order to reduce the amount of uncertainty within the population. Geert Hofstede Information

Written by Stephen Taylor - the Sigma Two Group

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